NWOTCA

Meeting Date: 3/15/2011

Call to Order

The meeting was called to order at 9:45 A.M. in Whitehouse

Updates on legislation/OML

Angie Kuhn of Sylvania spoke of meetings and correspondence regarding current possible legislation affecting municipality issues. Mindy Frank (Columbus), Art Preiksa (Green) from the cities and Sue Cave and Kent Scarrett of the Ohio Municipal League have been corresponding with State Representative Michael Henne and other legislators, directly addressing issues of concern. Legislators are looking at some of the following issues: standardized forms for all cities, the 12 Day Rule currently in ORC 718, and standardized penalty, interest, and late filing fee rates among all cities. Mindy addressed each of Rep. Henne’s issue directly in her letter to him following their meeting (copy included in the handout available at the meeting and can be forwarded via e-mail). There is also still a push for the state to provide consolidation of services with regard to filing of city tax returns. Some of this legislation could surface in budget bills or in stand-alone bills.

The current budget bill is due out this date and needs to be carefully studied for wording affecting cities. Sue Cave may contact individual cities for assistance in analysis of city impact of particular issues, so it is requested that any city contacted would cooperate and provide requested information.

SB 5 will contain some wording regarding collective bargaining of public employees, including city union employees. The bill is also said to require employees to pay 20% of their healthcare costs. Concern was expressed that having the State dictate to the cities on how cities can bargain with their union employees and defining the benefits the cities offer would attack home rule. It is also uncertain whether State defined benefits would also have to apply to cities that do not have unions. The collective bargaining issue may be forced to referendum on the November ballot.

Those wishing to keep up with information on cuts to the Local Government Fund are directed to www.everyohioan.com.

Angie mentioned an article by Matt Yuskewich in Gongwer (volume 79, issue 80, article 1) that might be of interest. Previously, she had sent an e-mail to all who might be interested in signing up for the publication at the group’s reduced subscription rate.

The issues concerning estate taxation are out of committee and there may be some legislation this week. The likely effective date on to changes in estate tax will be 2013.

SB 22 addresses unfunded mandate regarding sewer and EPA issues. Cities that have not separated sanitary and storm sewers are under tremendous financial burdens by EPA.

Changes in OPERS are in HB 69 and there could be some changes addressed in the budget bill as well.

At the February meeting, Mindy and Art were meeting with the OML discussing the following issues: Obtaining a common definition of taxable income; loss carryforward years standardized; consolidated returns filings; 1231 gain treatment; universal penalty, interest, and late filing fees; automatic extension (on the OBG?) and denials of extensions.

The OML is no longer attending meetings with the Ohio Society of CPAs. However, Scott Gill is still conducting meetings to keep communications open. As cities still must conduct business with the CPAs, cultivating good city/preparer relationship is important.

The OML Seminar in July is scheduled for July 13 – 15 for 2011 as there was already a contract for the 3 days. The seminar may be reduced to 2 days for the future. This year’s seminar will be held at the same location as last year; Marriott Northwest, in Dublin. The donation NWOTCA contributes to the OML each year was discussed. Deb Cartledge expressed how helpful the seminar has been for her since beginning her position with Maumee. She motioned our group again contribute $300.00 as we have in the past, Diane Haas of Ottawa Hills seconded the motion, and all voted yea to accept.

Angie discussed some agenda changes for the seminar including the addition of Schedule X and Y in the Nuts and Bolts session on Wednesday. Some new sessions could be on working with the news media, efficiencies through electronics, streamlining offices, customer service during stressful times, and possibly a PERS session on Friday.

Old Business

The May NWOTCA meeting scheduled for May 10 in Archbold has been changed to May 24^th to follow the May 20^th OML meeting to provide timely updates to members. It is expected that Jim Neusser will finish Ordinance revision and take questions. All members are also asked to review Andrew’s draft of the 12 Day Rule flow chart to decide if it correctly depicts the 718 law. This chart is referenced by preparers on the NWOTCA website but is not currently listed as revisions have been ongoing.

Perrysburg has recently revised their procedures for allowing non-resident refunds, incorporating the 12 Day Rule. They are no longer allowing refunds for days spent in other Ohio cities if the time there is less than 12 days, as work city withholding would predominate. For Ohio city days exceeding 12 days, they will require the other city’s tax return to verify tax paid to that city. Days in townships and outside of Ohio would still be eligible for refund.

Since Jean Hilt of Perrysburg is retiring, and she is a second signer on NWOTCA checks, Andrew made a motion that Pat Wast of Oregon be assigned as second signer. Motion seconded by Peggy Miller of Napoleon and all present voted in favor.

New Business

The staff seminar will be discussed again in May. Steve of Perrysburg agreed to again reserve the WW Knight Preserve when a date is set.

Angie asked for suggestions for future group meetings. Interest has been expressed for the group to discuss with Ohio legislators like Randy Gardner, Barbara Sears, Mark Wagner, Teresa Feder, or others. The group also has sufficient funds for a field trip. Interest was expressed to learn more on how to become a member of CCA to allow CCA to access the city’s IRS data to find additional taxpayers or additional information on current taxpayers.

NWOTCA workshops are possible for June and/or August meetings.

In the information exchange, the majority of cities are showing year-to-date revenues on the incline. Angie noted that at the OML meeting, she noticed the same trend among the cities in attendance. Our cities are as follows:

Ottawa Hills +24% Napoleon +8% Sylvania -1.4% Waterville +4%

Whitehouse -4.5% Maumee +5% Perrysburg +7% Bowling Green +5%

Willard +7% Oregon -4.5% Findlay +24%